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A firm's after-tax operating income was $1,000,000 in 2010.It started the year with a total capitalization of $8,000,000 and ended 2010 with a total capitalization of $9,000,000.If the capital raised in 2010 did not contribute significantly to 2010's operating income,which of the following best represents the firm's return on capital in 2010?
Merchandise
Goods that are purchased, stored, and sold by a business in its regular operations, often referred to as inventory.
Cash Collections
The process of receiving payment from customers for goods or services provided, impacting the company's cash flow positively.
Manufacturing Costs
Expenses directly incurred in the production of goods, including raw materials, labor, and overhead costs.
Insurance Expense
Insurance expense is the cost incurred by a business for various types of insurance coverages to protect against risks and potential liabilities.
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